Tuesday 2 Jan 2024
3,000 ‘local’ businesses benefit from rail work
- Region & Route:
- National
New figures released today saw over 3,000 small and medium-sized enterprises (SMEs) benefit from £1.3bn worth of business from Network Rail, with SMEs making up a record 75 percent of Network Rail’s supplier base.
In November 2019, Network Rail set out its SME action plan, making it easier for small to medium-sized organisations to do business and increasing the number of tendering opportunities. In the last financial year (2022/23), out of the 4,130 suppliers directly contracted by Network Rail, 3,107 suppliers – 75 percent – were SMEs.
Clive Berrington, Network Rail’s Group Commercial & Procurement director, said: “Small and medium-sized businesses make a big contribution to the rail network, and we remain committed to offering them opportunities to work on the railway.
“The UK rail network is the lifeblood of the country and vital to moving people and freight around. By supporting SMEs to work on the railway, we increase competition and drive down costs while also increasing efficiency, creativity, and innovation.
“We know there is more we can do to further support SMEs and during 2024, we will review and refresh our SME action plan and share it with industry.”
The Government set out a target for Network Rail to spend 33 percent of its third-party expenditure with SMEs. In the last financial year, the total spend was 34.9 percent, with £1.305bn directly spent with SMEs, and indirectly it was £1.665bn via Network Rail’s tier-one suppliers.
About Network Rail
We own, operate and develop Britain’s railway infrastructure; that’s 20,000 miles of track, 30,000 bridges, tunnels and viaducts and the thousands of signals, level crossings and stations. We run 20 of the UK’s largest stations while all the others, over 2,500, are run by the country’s train operating companies.
Usually, there are almost five million journeys made in the UK and over 600 freight trains run on the network. People depend on Britain’s railway for their daily commute, to visit friends and loved ones and to get them home safe every day. Our role is to deliver a safe and reliable railway, so we carefully manage and deliver thousands of projects every year that form part of the multi-billion pound Railway Upgrade Plan, to grow and expand the nation’s railway network to respond to the tremendous growth and demand the railway has experienced – a doubling of passenger journeys over the past 20 years.
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Sophie Anderson, a UK-based writer, is your guide to the latest trends, viral sensations, and internet phenomena. With a finger on the pulse of digital culture, she explores what’s trending across social media and pop culture, keeping readers in the know about the latest online sensations.
